There is a certain method of conducting hypothesis tests which makes it very suitable for automation. If we could know the set of values of a statistic – typically a single occurrence or mean – which results in the null hypothesis being rejected, these could be written down on the side of a machine and […]

## Hypothesis Testing Using a Test Statistic or Probabilities

There are two ways we can conduct a hypothesis test. I will illustrate with an example from the normal distribution assuming a two tailed test. Using a Test Statistic We have a null distributionand a single observationW e findSuppose we are conducting a 5% test. We find a test statistic and corresponding to 5% – […]